How long was it before you got your first customer? I know this depends greatly on how much advertising you do. Maybe give me an idea of how you got the customer. I.e. using soley Adwords and forum advertising.
Mark
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Our first customers where within months however this was mainly due to web design projects that where both past present and current as well as a combination of local advertisements. Though this does not particularly spell out a profit so considering taking a loss for a considerable length of time is something that needs to be heavily considered.
The easiest way to point that out is look at the profit margins of larger companies, Amazon for example 19% with a loss for the first 3 years if I’m not mistaken.
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For us, we had the customers BEFORE we opened the business. As a web host you are almost required to align yourself with web designers and have them drive the business to you (at least initially). Starting out, I'd suggest contacting local web developers in your area, and setup an arrangement where you would refer work back to them etc.
Also, it's important to note that you must ASK for the sale, from EVERYONE. You'd be surprised at how many people want web hosting but don't know where to go. They then remember something they saw in a paper, and signup. It's your job to get them to come to you - get your name out there!
For us, we had thousands of clients in the fantasy sports industry before building out our first data center and going online. I remember (dot com boom) in early 2000, having 60 corporate sales reps (no territories) hitting the streets of Metro St. Louis selling connectivity and hosting, and the phones ringing off the hook non-stop. Those were crazy times.
My recommendation follows Conor's - align yourself with designer's and consultants, and have them drive business your way. Networking can grow your business exponentially, if done correctly.
My first customer(s) where nearly instant. I had a web dev friend who moved all her sites over, I also had a few family friends who where looking to move at that same time and they appreciated the fact they could call me direct.
As far getting not attributed clients, I'd say within 2 months. I was lucky enough to have gotten ahold of a professor at a html class who plugged my services.
For us, we had the customers BEFORE we opened the business. As a web host you are almost required to align yourself with web designers and have them drive the business to you (at least initially). Starting out, I'd suggest contacting local web developers in your area, and setup an arrangement where you would refer work back to them etc.
Also, it's important to note that you must ASK for the sale, from EVERYONE. You'd be surprised at how many people want web hosting but don't know where to go. They then remember something they saw in a paper, and signup. It's your job to get them to come to you - get your name out there!
Give something for free and maybe forever Believe me.
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When I started Fusion-Hosts.com I did not see a customer till about 2 months after I started.
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For us, we had the customers BEFORE we opened the business. As a web host you are almost required to align yourself with web designers and have them drive the business to you (at least initially).
That is excellent advice. It's always good to make allies at every turn.